Geely will start assembling cars at the end of this year with a local partner 
in Malaysia to begin sales of vehicles throughout Southeast Asia. Initial annual 
production will be 10,000 units. 
Li says Geely will directly export its cars to the United States and Europe, 
in order to take advantage of low tariffs from the beginning. He will not 
provide a time frame, however. 
 
 
   Performers of the 
 Chinese traditional Beijing Opera pose in front of a Geely sports car 
 during the 61st International Car Show in Frankfurt, Germany, September 
 13, 2005. China's first private car maker Geely was the only one being 
 invited to the show among China's home-grown brands. The show ended on 
 September 25, 2005. [sina.com]
 
  | 
"We will 
also consider building plants in the United States and Europe if we faced 
anti-dumping charges and increased tariffs," he adds. 
Chinese-made textiles and home appliances have faced a long list of 
anti-dumping charges over the past several years in the United States and Europe 
because of rising protectionism. 
Li says Geely will build thousands of sales and service outlets throughout 
the world by 2015, mainly by employing local people. The company currently has 
more than 100 stores overseas. 
Li is not alone in his determination to conquer the West. Other Chinese 
vehicle producers are also on the move. 
Chery Automobile, in East China's Anhui Province, will begin exporting cars 
to the United States in 2007 through Visionary Vehicle, a US-based auto trader. 
Jiangling Motor, Ford's partner in East China's Jiangxi Province, started to 
sell its sport utility vehicles in Europe last year, despite ongoing quality 
issues. 
Shanghai Automotive Industry Corp (SAIC), a partner of both General Motors 
and Volkswagen, plans to sell its own independently branded cars in Europe next 
year. In the second half of this year, SAIC will begin production of an 
independent sedan based on the Rover 75 model, which it bought in 2004 from 
collapsed British automaker MG Rover. 
China's vehicle exports have been growing rapidly in recent years, due to the 
efforts of domestic manufacturers in foreign markets. Official statistics 
suggest overseas vehicle shipments increased by 120.5 per cent year-on-year to 
172,800 units last year. But most of these were cheap, technologically 
unsophisticated products. Vehicle exports were only worth US$1.6 billion in 
2005, less than one-third of the value of China's vehicle imports. 
Analysts warn that Chinese carmakers should improve product quality if they 
want to establish their brands in overseas markets, particularly in the United 
States and Europe. 
"They must have top-flight product reliability. Without the quality, there 
will be no end to the misery," Dunne says. 
"American buyers are ready to try new things, but they punish product 
mistakes with a vengeance." 
Li has recognized the importance of product quality. There's no better way to 
establish the Geely brand in the United States and Europe, he says, than 
improving quality, technology and services. This is why the company has plans to 
inject more money into research and development. 
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